Asia-Pacific Stocks: DON'T "Sell in May and Go Away"?

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Asia-Pacific Stocks: DON'T "Sell in May and Go Away"?
The Asia-Pacific region broke this old rule more than once. What about 2012?

By Vadim Pokhlebkin
Fri, 04 May 2012 17:45:00 ET

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At the 2nd annual Social Mood Conference in April, one speaker delivered an interesting insight:

Every year, stock market returns in May-October average only about 50% of the returns in November-April.

Important information, yes -- but did you realize that May-October in 2003, 2007 and 2009 were great periods to hold Asian-Pacific equities?

What about 2012, you may wonder?

You get a plain-English answer to this question on page 1 of our new, May Asian-Pacific Financial Forecast. Also in the May issue:

OVERVIEW: This month’s issue begins with a chart of 4 emerging Asia markets: Indonesia, Malaysia, Philippines and Taiwan. Their Elliott wave patterns give us a good picture of how much rally is left in the rest of the region. You also get updates on the ongoing collapse of small-cap indexes in many local markets, as well updated forecasts for the local bellwether stocks.

APPLE, INC. (AAPL): Good Buy or "Good Bye"? The March Asian-Pacific Financial Forecast gave a forecast for AAPL because the company has become a global bellwether. AAPL topped on April 10 -- within the timing window we identified last month. The May issue gives you new price targets, plus the overall opinion on whether or not AAPL is a good buy or "good bye."

HONG KONG: The Hang Seng has moved sideways for a long time, and in Elliott analysis that movement has a name: a triangle. The May Asian-Pacific Financial Forecast tells you how many waves remain, and what should happen next.

Special Section: Exclusionism and bear markets. A socionomic look at Hong-Kong government's recent decision regarding the mainland Chinese.

SINGAPORE: The Straits Times Index and the FTSE ST Small Cap Index are approaching a stiff level of price resistance.

Special Section: Baidu’s ADRs. The Singapore Exchange trades shares of non-U.S. companies that trade on U.S. markets. Get a fresh forecast for BIDU.

THE 2 KOREAS: An easy prediction. North Korea’s attempt to launch a long-distance missile in April had an ominous timing, from an Elliott wave standpoint. To understand more see our forecast for the KOSPI -- plus our socionomic conclusion about the near future of the two Koreas.

NIKKEI 225: Lots of Optimism. Although Japan is one of the region’s laggards, it has caught the optimism that has infected much of the region lately. See our Elliott wave chart of the Nikkei to understand how long the party may last.

AUSTRALIA: The ASX All Ordinaries rally since late 2011 has lagged the Asian-Pacific region. Elliott waves suggest that's about to change. Wave patterns in the two Australian bellwether mining stocks, BHP Billiton and Rio Tinto, support that forecast.

INDIA's NIFTY: It has fallen for months, but that also should change soon.

Special Section: Like Apple Inc., Tata Consultancy Services (TCS) is a bellwether for the global stock market rally. See our latest Elliott wave count for the stock.

CHINA: At a Significant Turn. We show you three factors -- Elliott wave pattern, trendline analysis, and weekly new brokerage account numbers -- that make a surprising forecast for the Shanghai Composite.

Special Section: Bear markets and political crises. The unfolding political crisis involving Bo Xilai, a high-ranking member of the Communist Party, socionomically may also indicate a turning point not only for Chinese society but also for Chinese stocks.

Tap into these insights now via a 30-day RISK-FREE subscription to The Asian-Pacific Financial Forecast Service. You also get instant access to the still-valuable April 2012 issue.

China, India, Japan, Australia and Beyond: Ride the 2012 Trends with EWI's Asian-Pacific Financial Forecast Service

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Editor Mark Galasiewski's insightful and useful commentary on stocks in Japan, China, India, Australia, Singapore, Hong Kong, Taiwan, Korea and more, plus the region's financial and social trends has prompted one subscriber to write that Mark clearly has his "finger on the pulse of the local scene here."

The Asian-Pacific Short Term Update (Tue, Thu, Sun)

Timely analysis and forecasts for the major stock indexes in Japan, China, India, Australia, Singapore and Hong Kong, plus occasional updates for Taiwan, Korea and other Asian-Pacific nations. Editor and award-winning market technician Chris Carolan keeps you abreast of market moves between the monthly Asian-Pacific Financial Forecast issues, while also providing valuable commentary on debt and forex markets.

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Tags: Asia Dollar Index, Asian-Pacific Short Term Update, ASX All Ordinaries, Bank of Japan, BRIC, Chinese markets, diversification, Elliott wave, Elliott Wave trading, emerging markets, Indian markets, investment strategy, Nikkei, Shanghai Composite Index, stock indexes, technical analysis

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